QUOTEBOX: GM CEO comments on restructuring process

DETROIT (Reuters) - General Motors Corp Chief Executive Fritz Henderson said on Monday that the automaker was headed for bankruptcy, with three weeks remaining until a government-imposed deadline of June 1.

Following are key quotes from Henderson's weekly update during the update on GM's restructuring plan.

BANKRUPTCY MORE PROBABLE THAN NOT?

"Today it's more probable we would need to resort to bankruptcy process but there's still a chance for it to be done outside a court proceeding."

OPEN TO MOVING CORPORATE HEADQUARTERS FROM DETROIT?

"We don't have any such plans but if we did it would be motivated by business rationale, which would be cost efficiency and speed."

ON OPEL SALE TALKS, GERMAN GOVERNMENT ROLE

"We're speaking with multiple bidders with the objective to at least have some understanding of what an agreement would look like certainly no later than the end of this month. And our target is do it slightly before the end of this month."

"With respect to the German government, we have a need for funding actually in our European business that is important and urgent, and the German government has indicated interest in running our business."

DEALER TERMINATION PLAN

"We'll start notifying dealers later this week. What we're trying to do is work with our dealers on an orderly wind-down of their inventory positions. This is not something that's measured in weeks or one or two months but it will take place through 2009."

NEGOTIATIONS WITH UAW

"By 2014, (GM planned) about 7.5 percent of the production for U.S. sales outside North America, or about 235,000 vehicles. This is something we would want to have discussions with them about."

DISCUSSING LATIN AMERICA OPS IN TALKS WITH FIAT?

"This is a business we know and we like very much and I am not going to comment very much on what role it might play in the negotiations."

OPEN TO MODIFYING DEBT EXCHANGE OFFER?

"I mean, the guidance given to us by the Treasury when we launched the bond exchange remains in effect today. We don't have any plans to make modifications at this point."

"They didn't support us going above 10 percent (equity in a restructured company) in terms of the offer to unsecured bondholders so we went to 10 percent."

BRAND SALES

"In Hummer's case, we've received three offers several weeks ago we're negotiating with two parties today to try to reach some acceptable terms. It's something that's getting done."

"(On Saturn): A number of parties emerged having an interest in this truly solid distribution channel and great retailers and we're prepared to facilitate something in that regard."

"In Saab's case, a number of parties have come forward in Sweden to consider the business and that process is being run by the Swedish business. They're talking to a number of interested bidders and that will take more shape in the next month or two rather than the next week or two."

(Reporting by Soyoung Kim; Editing by Derek Caney)